What is Ethereum (ETH)? - Crypto Casino & Sports Betting
The second-largest cryptocurrency in terms of market cap is Ethereum (ETH). The Ethereum network facilitates fast transactions, making it ideal for making deposits and placing bets. You can use coins like Ethereum and Bitcoin to play casino games and place sports bets here at Stake, but first, you should understand how it works.
What is Ethereum (ETH)?
Ethereum is a decentralised software platform that is powered by blockchain technology. One of the main functions of the network is the ability to create smart contracts, and it can also be used to develop decentralised apps, known as dApps. However, Ethereum is best known for Ether, the native tokens on the Ethereum network.
Ether (ETH) is the native cryptocurrency that is used to send and receive money on the Ethereum network. However, most people refer to it as Ethereum, and its fast transaction speeds and low fees make it ideal for online payments, including at online casinos like Stake.
Anyone can use ETH. All you need is a compatible wallet to send and receive it. You can purchase coins at popular cryptocurrency exchanges or directly through a service such as Moonpay and Swapped.com.
History of Ethereum & How Does it Work?
The Ethereum network first launched in 2015 after initially being conceived in a white paper by Vitalik Buterin. He foresaw the future potential of cryptocurrency that is linked to real-world assets and noted that other cryptocurrencies, such as Bitcoin, lacked functionality.
Buterin, alongside eight other founders, was responsible for the network going live and has remained an integral part of the Ethereum Foundation. The Foundation is responsible for supporting research and development of the Ethereum network and promoting its many uses. Today, Ether is one of the most popular assets on the crypto market, second only to Bitcoin.
How Ethereum Works
Like all cryptocurrencies offered at Stake, ETH can be sent between wallets, enabling fast and low-cost transfers from anywhere in the world. It uses a decentralised blockchain to record the data of each transaction. Identical copies of the blockchain are distributed across the entire network, and each time a new block is added to the chain, it has to be validated.
While Bitcoin and many other popular cryptocurrencies use proof-of-work to validate transactions on their blockchain networks, this is highly energy-intensive. Ethereum switched to proof-of-stake in 2022, cutting the required processing power and its energy usage by 99%. Under this model, users can stake their ETH, giving them the ability to vote on the validity of block creation and gain rewards. Stakers who act dishonestly will have their staked ETH destroyed, which ensures the system is highly accurate while still being decentralised.
Interested in learning more about cryptocurrencies like Ethereum? Discover popular coins, glossaries and crypto courses on learncrypto.com and take your crypto knowledge to the next level.
How to Bet on Casino Games & Sports with ETH?
Ethereum is used to program smart contracts, but it also functions as a digital currency in the same way that Bitcoin and other digital assets do. You can use it to send money to your Stake account and gamble on a wide range of games and sports events. If you're new to crypto gambling, we have a guide that details the basics.
You can choose a game from our games library, to play a selection of online casino games using ETH. be sure to check the RTP rate and house edge to ensure you're happy with your choice. There are hundred of games you can choose from to bet with ETH. Use our ultimate casino guide to learn where to start.
Betting on sports using ETH is just as simple. All you have to do is follow these steps:
You can use your Ethereum balance to play any of the slots at Stake, including games from top software providers along with a wide variety of exciting table games and live dealer games. Slots are great if you want to play low stakes with the chance to win big payouts. However, games like blackjack and baccarat have a low house edge, although you need to play within the table limits.
Stake lets you bet on sports with Ethereum using the digital currency to bet on events taking place all over the world. Pre-live and live betting is available using crypto, with a wide range of sports covered. Whether you love soccer, tennis, basketball, cricket, esports or anything else, it’s all available to bet on.
If depositing, select Ethereum, choose the correct network and then copy the deposit address.
Paste the address in your Ethereum wallet and enter the amount you’d like to deposit.
Double-check the wallet address and then confirm to send.
Once the transaction has reached the required number of confirmations on the network, your ETH will be available to bet with.
You’ll need to purchase crypto on an exchange such as Binance, or you can buy it directly using fiat currency at Stake. If you choose “Buy Crypto” on the wallet page, you can link your Moonpay and Swapped.com to purchase ETH. Find more answers on deposits in our crypto deposit limit and crypto deposit help pages.
You can withdraw ETH in a few short steps:
Open your wallet and check it has enough funds to cover the minimum withdrawal.
Paste your personal wallet address and double-check it.
Enter the amount you’d like to withdraw within the withdrawal limits and confirm the transaction.
Ethereum stands out from many other crypto coins due to the utility that it offers. The network is designed around smart contracts and decentralised applications, which can have many real-world uses other than just transferring money.
Aside from the improved utility of Ethereum, it’s also fair to say that ETH functions better as a currency compared to many other crypto coins. It’s easy to send and receive Ethereum, with transactions typically confirmed within a few seconds. Fees are also low when sending ETH.
For more information on the coins offered on Stake, check out our guides to coins like Tether,Litecoin, EOS and Bitcoin on our blog.
Benefits of Ethereum Betting & Tips
There are many benefits to using Ethereum to bet at Stake:
Fast transaction times mean no waiting around for deposits or withdrawals.
Low fees for transactions so you keep more of your winnings.
It’s safe because there’s no need to enter your personal payment details to make deposits or withdrawals.
You can purchase Ethereum using Moonpay and Swapped.com.
Transactions are borderless with no currency conversion necessary.
Here are some tips for getting more out of betting with ETH:
Research your games and bets – Make sure you understand how to play before you place any bets on casino games. If you’re betting on sports, you should research each bet, using the available data before making your pick.
Bet responsibly – Follow our Stake Smart guidelines to stay in control and bet responsibly. Ensure you don’t get carried away chasing losses, and never bet more than you can afford to lose. Consider following a budget if you want to make it easier to spend less while having fun. Use our budget calculator to help set appropriate limits.
